EDMONTON - Prime Minister Stephen Harper used a community college workshop to announce a new grant program that will pay cash to Canadians who take apprenticeship programs.

The program, first announced in the last federal budget, offers apprentices up to $4,000 by the time they graduate, a significant increase from past grant programs.

"Demand for trades people, for skilled workers, still remains very strong in this country, notwithstanding the recession," Harper told a news conference Thursday.

"Business knows that they are still going to need a lot of skilled apprentices and trades people and that's in the very near future."

Encouraging more apprenticeships will help Canadians weather the global recession because it improves both job prospects and earning potential, he said.

An estimated 20,000 people could benefit from the grant program, according to a government news release.

Apprentices can start applying for the grants in July, but the program is retroactive to Jan. 1.